Are Republicans and Business on the Rocks?

Stephen Mihm, an associate professor of history at the University of Georgia, is a contributor to the Ticker.

In recent days, some stalwart allies of the Republican Party -- Wall
Street bankers along with several business lobbying groups -- have
warned against the government shutdown.
Rather than endorse House Republicans’ campaign to destroy the
Affordable Care Act, business and financial leaders have politely
suggested that the more radical elements Republicans are getting a bit
carried away.

On Sept. 30, the Chamber of Commerce released a letter
counseling the House of Representatives -- read: Tea Party Republicans
-- to cease and desist. It was signed by more than 250 business groups,
including the National Association of Manufacturers and the Business
Roundtable. Wall Street titans such as JPMorgan Chase & Co. Chairman
Jamie Dimon, Goldman Sachs Group Inc. Chairman Lloyd Blankfein and
others have made similar pleas in person.

This rift between
business and the Republican Party is unprecedented. For much of the past
century, important business interests have pushed Republicans to combat
the “creeping socialism” inaugurated by the reforms and regulations of
the New Deal. Over the years, the alliance successfully eroded the power
of unions, and rolled back burdensome regulations and progressive
taxation....